NASDAQ$CMBMF

Cambium Networks Corporation · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Cambium Networks reported record revenues, increased gross and operating margins, and record adjusted EBITDA.

Cambium Networks reported a strong second quarter with record revenues of $92.7 million, a 49% increase year-over-year, driven by high demand for fixed wireless broadband and enterprise Wi-Fi solutions. The company achieved record operating income and adjusted EBITDA, reflecting its success as a global wireless infrastructure leader.

  • Record revenues of $92.7 million, up 49% year-over-year.
  • GAAP net income of $11.5 million or $0.40 per diluted share, and record non-GAAP net income of $12.9 million or $0.45 per diluted share.
  • Record Adjusted EBITDA of $18.4 million or 19.9% of revenues.
  • Cambium shipped its 10 millionth radio since becoming a standalone company.

Headline financials

Total Revenue

$92.7M

Previous: $62.3M+48.9%
EPS (adj)

$0.45

Previous: $0.16+181.3%
Non-GAAP Gross Margin

50.0%

No prior period
Adjusted EBITDA Margin

19.9%

Previous: 12.3%+61.8%
Gross Margin

49.7%

No prior period
Capital Expenditures

-$1.96M

Previous: -$1.54M-27.4%
Free Cash Flow

$9.55M

Previous: $1.77M+439.7%
Net Income

$11.5M

Previous: $3.31M+247.7%
Operating Income

$14.3M

Previous: $4.81M+197.0%
Gross Profit

$46.1M

Previous: $30.5M+51.3%
Cash & Equivalents

$51.4M

Previous: $37.4M+37.3%
Total Assets

$217M

Previous: $169M+28.7%
Stock-Based Comp

$2.1M

Previous: $940K+123.2%

Revenue & EPS history

Cambium Networks · Revenue · Quarterly

$92.7M

Q2 2021+48.9%vs Q2 2020
Beat estimate in 9 of 12 quarters(75%)
ActualEstimate

Revenue by segment

Cambium Networks · $92.7M total across 4 segments · Q2 2021

  • Point-to-Multi-Point
    $59.8M+47.4%
  • Enterprise
    $18.3M+139.5%
  • Point-to-Point
    $14.1M+11.6%
  • Other
    $550K-62.0%

Forward guidance

Cambium Networks provided financial outlook for the third quarter ending September 30, 2021 and full year ending December 31, 2021.

Tailwinds

  • Revenues between $88.0-$92.0 million for Q3 2021.
  • GAAP gross margin between 48.3%-49.3% for Q3 2021.
  • Non-GAAP gross margin between 48.5%-49.5% for Q3 2021.
  • GAAP operating income between $8.9-$10.8 million for Q3 2021.
  • Non-GAAP operating income between $11.8-$13.6 million for Q3 2021.

Headwinds

  • GAAP operating expenses between $33.6-$34.6 million for Q3 2021.
  • Non-GAAP operating expenses between $30.9-$31.9 million for Q3 2021.
  • Interest expense, net of approximately $1.0 million for Q3 2021.
  • GAAP net income between $7.1-$8.5 million or between $0.25 and $0.29 per diluted share for Q3 2021.
  • Non-GAAP net income between $8.6-$9.8 million or between $0.30 and $0.34 per diluted share for Q3 2021.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 18 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

-2.9%

Avg return

Earnings day

-0.5%

Avg return

5 days after

-0.4%

Avg return

30 days after

39%

11 / 28 earnings

Positive

+20.7%

Q3 2022

Best reaction

-29.8%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+11.8%+11.8%
Q3 2025+0.0%+158.7%+180.0%
Q2 2025-5.6%-21.8%-31.1%
Q1 2025-7.4%-5.6%+10.7%
Q4 2024-13.8%-0.8%-27.2%
Q3 2024-9.9%-3.1%-24.4%
Q2 2024-4.0%-6.2%-5.6%
Q1 2024-13.9%-13.5%-24.0%
Q4 2023+5.5%-3.9%+0.5%
Q3 2023-3.0%-8.9%+0.6%
Q2 2023-29.8%-38.5%-43.1%
Q1 2023-0.3%+3.0%+22.9%
Q4 2022+4.1%-5.2%-18.0%
Q3 2022+20.7%+17.9%+21.4%
Q2 2022+0.1%+1.7%-3.9%
Q1 2022-19.0%-17.6%-14.0%
Q4 2021+12.9%+3.9%+3.7%
Q3 2021-7.8%-7.1%-19.4%
Q2 2021+1.6%-12.4%-19.7%
Q1 2021+3.2%-13.2%-15.2%
Q4 2020+3.5%+4.3%+19.0%
Q3 2020+14.7%-0.3%+14.4%
Q2 2020+4.5%+4.8%+12.2%
Q1 2020-17.8%-25.3%+0.9%
Q4 2019-6.1%-12.9%-34.2%
Q3 2019-16.5%-15.3%-31.2%
Q4 2018-4.2%+1.1%+12.8%
Q2 2019-4.9%-8.9%+1.7%
Q1 2019
Q3 2018
Q2 2018
Q1 2018
Q1 2017

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